A report revealed that BNY Mellon Bank, the oldest American bank, asked the Irish government for cryptocurrency regulations.
Ireland’s “Independent” revealed the first details about the Bank of New York Mellon Corporation (BNY Mellon) meetings with the Irish government on the issue of crypto regulations.
The last of these meetings happened in May of this year; however, this meeting is the first time that the entity revealed further details to the public about the subject.
Since the European Union authorities are still discussing crypto regulations, this bank has been pressuring the Irish government to create its own rules for the regulations to take space. It is worth considering that BNY Mellon launched the business of its digital assets in Ireland this year to bring custody services to institutional investors.
The report Regarding Crypto Regulations
BNY Mellon established a crypto unit in Ireland during the second quarter of the year, just around the time it urged the country’s Finance Ministry to apply a series of crypto regulations. The bank’s digital hub in Dublin got created to bring digital asset deposit services to institutions interested in cryptocurrency investments.
The report from the Independent media reveals that representatives of BNY Mellon met with the Irish Minister of State in the Department of Finance, Sean Fleming, to convince the government of the need to adopt national crypto regulations while the European Union rules to the sector are still under consideration.
The Crypto Assets Markets Regulation aims to harmonize cryptocurrency legislation in the 27 member states of the European Union with rules on the custody of digital assets, capital requirements for service providers, and better investor protection.
These standards should apply to both decentralized digital currencies and fiat-backed stable coins.BNY Mellon believes that the new regulations will take effect no earlier than 2023. Meanwhile, several European countries have moved to introduce their legislation in recent years.
The publication offers an example of the German fund allocation law that came into effect this summer. Its provisions relaxed the rules for a category of institutional funds called “special funds” that can now invest 20% of their portfolios in crypto assets.
Irish media also revealed that the US bank emphasized the importance of securing a talent pool in the country’s crypto and Blockchain space to allow members of the growing industry to provide these services.
The finance company further noted that within BNY Mellon, Ireland is now competing with Israel and New York for Blockchain expertise.
The BNY Mellon banking group, with a presence in the country for 25 years, said that developing this talent in Ireland at a rate that meets the expected growth will be a challenge.
By: Jenson Nuñez
